Data Privacy, Privacy

Data Minimization: Why California’s CPRA Requires Your Business to Collect Less Data

July 8, 2025

In today’s digital world, collecting personal data from customers seems routine. But did you know that under California law, your business could get into legal trouble for collecting too much data — even if you never use it?

Thanks to the California Privacy Rights Act (CPRA), data minimization is now a legal requirement. That means you must only collect and use the personal information that’s truly necessary for a clear, disclosed purpose.

In this blog, we’ll break it down:

What data minimization means under CPRA
Why this matters to your business
Practical ways to apply it
How Curated Privacy LLC can help you comply

What Is Data Minimization Under CPRA?

Under the California Privacy Rights Act, which applies to businesses that collect personal information from California residents, data minimization means:

“Collecting, using, retaining, and sharing personal information only to the extent that is reasonably necessary and proportionate to achieve the purposes for which the personal information was collected or processed.”
Source: California Civil Code §1798.100(c)

So if you don’t really need a piece of data to deliver a product, service, or legal requirement, you should not collect it.

Why Data Minimization Matters to Your Business

1. It’s Legally Required

If your business serves California residents and meets CPRA thresholds, you must follow this rule. Failing to do so could lead to consumer complaints or regulatory penalties from the California Privacy Protection Agency (CPPA).

Learn more: CPPA Fact Sheet on CPRA

2. Less Data = Less Risk

The more personal data you collect, the more you’re responsible for protecting it. If a data breach happens, unnecessary data could make it worse — legally and financially.

3. Customers Notice

Today’s customers value privacy. When your forms and apps ask for too much, they get suspicious. Collecting only what you need builds trust and shows that your business respects personal boundaries.

4. You Save Time and Money

Collecting less means you spend less time managing, securing, and storing personal data — especially helpful when handling deletion requests or breach notifications.

What Your Business Should Do

Here’s how to follow the CPRA’s data minimization rules in real life:

1. Audit What You Collect

Make a list of all the personal data you collect: names, emails, addresses, phone numbers, payment info, location data, etc.
Ask:

Why are we collecting this?
Do we use it?
Can we reduce or eliminate any fields?

2. Explain Your Purpose Clearly

Under CPRA, you must tell consumers what you’re collecting and why. Be specific in your privacy policy, website forms, and app interfaces.

Example: “We collect your phone number to send delivery updates only.”

3. Remove What You Don’t Need

If a piece of data isn’t needed to provide the service or meet a legal requirement, stop collecting it. Clean up old forms, apps, and backend systems.

4. Limit Retention

Don’t hold on to data “just in case.” CPRA expects you to delete personal data once it’s no longer necessary for your stated purpose.

5. Train Your Team

Make sure staff understand why collecting less is better — and how to spot over-collection. Everyone from marketing to customer service plays a role.

Real-World Example

Old form:

Name
Email
Phone
Birthday
Gender
ZIP Code
Favorite color

CPRA-compliant form:

Name
Email
ZIP Code (only if needed for delivery or location-based service)

The rest? Not needed = not collected.

Conclusion

If your business operates in California or serves California residents, data minimization isn’t optional — it’s the law. The California Privacy Rights Act makes it clear: collect only what you need, use it responsibly, and get rid of it when you’re done.

Practicing data minimization doesn’t just protect you from legal trouble — it builds customer trust and reduces your operational burden.